CHINA RESOURCES<0291> - Announcement

The Stock Exchange has received a message from China Resources Enterprise, 
Limited which is reproduced as follows:-

"This statement is made at the request of The Stock Exchange of Hong Kong 
Limited.

The Company noted that certain articles appearing in several newspaper 
today referring to the Company's proposed acquisition of certain 
property-related assets belonging to the China Resources Retail Group.  

The Company would like to refer to the announcement made on 28th June 
1999, and reiterate that preliminary discussion is being held with the 
parent company in respect of a proposed acquisition of certain 
property-related assets, belonging to the China Resources Retail Group.  
However, no terms including pricing and conditions in respect of the 
transaction have been reached, and no timetable has been set for such 
acquisition.  Thus, the Company has not decided on the funding plan for 
this acquisition.  If this proposed acquisition materializes, it would 
constitute a discloseable transaction, but not a major transaction, under 
the requirement of the Listing Rules.

Made by the Board of the directors of which individually and jointly 
accept responsibility for the accuracy of this statement.

Ralph Keung
Executive Director

30 June 1999"